Saudi Arabia

The Kingdom of Saudi Arabia is one of the world's largest oil exporters and also has huge reserves of this wealth. Saudi Arabia was dependent on trade prior to the discovery and export of oil, and a large proportion of its population was engaged in pastoralism, moving from region to region in the form of nomadic tribes.

After the discovery of oil, the living conditions of the Saudi people were very different, the standard of living of the individual rose and the infrastructure in the country developed until Saudi Arabia became one of the most influential countries in the world, where large income was available. to the treasury, which allowed him to advance the industrial sector.

The Saudi government has pursued an economic policy aimed at diversifying the country's economic base, reducing dependence on the oil exporting sector, as oil was seen as a source of financing for economic and social development projects.

Industry components in Saudi Arabia

• Saudi Arabia has all the necessary ingredients for the industry, including capital, energy, markets, and raw materials.
• Official support for the industrial sector, provision of incentives that encourage the advancement of this sector and enactment of laws that protect national assets.
• Provide material incentives to the private sector working in the field of industry through the provision of interest-free loans and repayments for long periods.
• Supply of industrial cities: Many industrial cities were established, and they were equipped with all the necessary requirements for industry, such as electricity, water and buildings, and rented to owners of industrial projects at nominal wages.
• Provide all services to the industrial sector, such as electricity and water, at nominal prices.
• All goods and industries are exempt from tax, and this leads to their lowest price.
• Provide non-profit industrial loans for those who wish to work in the industrial sector.

Industry Goals in Saudi Arabia

• Diversification in the production of goods so that they can compete with other goods. Take advantage of incentive incentives.
• Expansion using modern global technology, as this technology contributes to increasing production and improving product quality.
• Relying on Saudi labor through training programs and promoting technical and general education to reduce dependency on foreign labor.
• Cooperation with the different industrial sectors of the country to benefit from the advantages of each sector.

Types of industries in Saudi Arabia

There are two main types of industries which are:

• public sector industries

1. Oil refining, transportation and exploration industry.
2. The petrochemical industry, which are industries that depend on oil such as the manufacture of plastics, fertilizers, pesticides and others.

• private sector industries

The industries carried out by the private sector vary, and most of them are local consumer goods, with part of them being exported to Arab markets. The most important of these industries are: the manufacture of cement, dates, soap, powdered detergents, cement pipes and food industries.